If You're a Coinbase Shareholder, Prepare for a Disappointing Q2
The macroeconomic uncertainty today, characterized by skyrocketing inflation, higher interest rates, the war in Ukraine, and fears of a recession, has been a major headwind for the crypto market as investors seek safer assets to park their money in. And this situation has had an especially severe impact on Coinbase (NASDAQ: COIN), which just posted a 27% year-over-year drop in revenue and a net loss of $430 million.
Coinbase shareholders are feeling the pain, as the stock cratered over 40% in April alone. Investors should expect things to get worse before they get any better.
From the start of April through May 12, the cryptocurrency market has been down roughly 39%. And this weakness caused Coinbase's management team, led by co-founder and CEO Brian Armstrong, to provide disappointing guidance for the second quarter.
Source Fool.com
